W9 Form Printable South Carolina – An Internal Revenue Service tax form called a W-9 is used to verify a person’s name and address. A confirmation request can be submitted for either a U.S. citizen, or an citizen of another country. A W-9 form can also be called A Request for Taxpayer Identification Number and the Certification form.
What Is Form W-9 Used For?
The information provided on W-9 forms is commonly used to make an equivalent of Form 1099. A 1099 form includes information regarding any earnings that might be received from the TIN holder but could not be reported on a W-2 form. This can include earnings that are part of a deal, certain real estate transactions, dividends paid against investments, and various other financial transactions.
Independent Contractor or Employee?
Employers are required to withhold income tax and also withhold and pay Social Security, Medicare, and unemployment taxes on employees. If you’re an independent contractor, it won’t. You’ll be responsible for the employer’s share of Social Security and Medicare taxes however you will not be eligible for unemployment insurance should you be laid off.
Can I refuse to sign Form W-9?
Certain. If you refuse in response to a legitimate request, your client will withhold taxes from your pay at an amount of 24%.10 The department that handles accounting could also find you a pain and tell the person you spoke to to not do further business with you. The business is required from the IRS to get a signed Form W-9 from any person they pay $600 or more for during the calendar year. Infractions to this requirement could result in penalties.
If you believe the person requesting the form doesn’t have a legitimate reason for making the request, but it is possible to refuse, then refusing is the best option. Contact a tax professional should there are any questions.
The Bottom Line
W-9 forms are meant for independent contractors, sometimes referred to as freelancers. It is essential to fill out the correct form, but only if you’re confident that this is the correct application form and that the request is legit. W9 Form Printable South Carolina